Follow the author of this article

Follow the topics within this article

Sky and BT are bracing themselves to take a potential hit on advertising revenues as the gambling industry proposed an agreement to stop promoting bets during live sports broadcasts.

A “whistle-to-whistle” TV advertising ban is said to have been agreed in principle by the Remote Gambling Association, which includes Bet365, Ladbrokes and Paddy Power.

The Government has praised the industry for finally “stepping up” amid public concerns. On Thursday night, shares in William Hill and 888 fell almost three per cent and five per cent respectively, while gaming group GVC’s share price closed down 5.6 per cent.

Carsten Thode, the chief strategy officer of marketing agency Synergy, said broadcasters would be worried. “We have been through this before, but this may well end up like the tobacco ban in F1. Something will eventually come along in its place, but we could see a short-term drop in revenue.”

When asked about the potential ban, the RGA said “nothing has yet been finalised”, but Jeremy Wright, secretary of state for Digital, Culture, Media and Sport, told The Daily Telegraph: “Gambling firms banning advertising on TV during live sport is a welcome move and I am pleased that the sector is stepping up and responding to public concerns. It is vital children and vulnerable people are protected from the threat of gambling-related harm. Companies must be socially responsible.”

The football gambling industry is worth £1.4 billion in Britain. The Gambling Commission said bookmakers made £333.4 million in profits from bets placed on the sport between October 2015 and September 2016.

The new broadcasting agreement is said to ensure no adverts will be broadcast for a defined period before and after a game is broadcast, and will include any game that starts prior to 9pm.

Anti-gambling campaigners say sport’s use of adverts “normalises” betting and the RGA has previously said it was “mindful of public concerns”.

It has been claimed that “whistle-to-whistle” advertising contributes to the rise in the amount of problem gamblers – with a Gambling Commission report suggesting 430,000 Britons can be described as such – and helps fuel under-age gambling.

According to the BBC, horse racing will be exempt from the restrictions because of the commercial importance of gambling on its viability, but all other sports will be included. The gambling industry has been facing pressure amid concerns around its presence in sport. Nine of the 20 Premier League teams and 17 of 24 Championship teams have shirt sponsorships with gambling companies.

Marc Etches, of the GambleAware campaign group, said: “While we welcome this move, it is important to pay attention to analysis that shows the marketing spend online is five times the amount spent on television. The fact that it is reported one in eight 11-to-16 year olds are following gambling companies on social media is concerning.”

In October, gambling bosses reacted angrily to Football Association proposals to demand potentially tens of millions of pounds from the betting industry to support the grass-roots game.